SRA client money consultation
Today’s Family Lawyer, Gazette Ireland and Today’s Conveyancer report that the Solicitors Regulation Authority (SRA) is considering whether to change its rules to prevent firms retaining any interest earned on client money. This comes as the SRA launches a wider consultation on consumer protection.
In its most recent Financial Benchmarking Survey, the Law Society estimated that firms could have made as much as £27m total net income in interest on client money in 2022/2023.
Law Society president Richard Atkinson said: “Firms should continue to be able to operate client accounts, as they are vital for the effective and efficient delivery of many legal services.
“There is a danger that radical change will add cost and delay for clients and simply transfer the same or even greater risk from the current client accounts system to any new one.
“Following the Legal Services Board’s decision to take enforcement action after its independent review into the SRA’s handling of the collapse of Axiom Ince, a key question that must be asked is how the SRA can improve its own monitoring and enforcement around these kinds of risks as part of its core regulatory function. Simply passing regulatory responsibility elsewhere is unlikely to be the answer.
“We look forward to working with our members to develop our response to this important consultation.”
Today’s Conveyancer also publishes a piece exploring the current landscape, guidance and the SRA’s ongoing concerns about firms’ reliance on client account interest. Our Financial Stability Toolkit and Financial Benchmarking Survey is mentioned.
Criminal legal aid
LawCareers.Net reports that the government has announced a £24 million injection into criminal legal aid work in police stations and Youth Courts, as a first step in plans to support the sustainability of the criminal legal aid sector.
President Richard Atkinson said: “It is extremely encouraging that the lord chancellor sees the important role that solicitors play in our criminal justice system.
“The additional funding brings hope to the criminal defence profession as does her recognition that this is just the first step needed to stabilise the sector.
“We understand that the crisis cannot be solved overnight but the government should set out a timetable for further funding for criminal legal aid solicitors by the end of the year.”
Housing possessions statistics
Property 118, Letting Agent Today, Landlord Zone and Inside Housing (£) cover the Law Society’s reaction to rising numbers of landlord and mortgage possession orders, as access to housing legal aid remains out of reach for many.
President Richard Atkinson said: “The rising number of eviction orders reflects the alarming state of our housing crisis and the urgent need for rental reform.
“It is deeply concerning that 25.3m people (42%) do not have a local legal aid provider for housing advice. This means that there is no support for renters who cannot afford legal help.
“It is critical that the government invests in the legal aid system, so that renters have the help they need to avoid losing their homes.
“While we welcome the government’s Renters’ Rights Bill, it will struggle to achieve effective rental reform without funding the justice system and legal aid. The government must immediately invest £4.3 million in housing legal aid alongside the Bill to close this gap in provision.”
The Inside Housing newsletter also mentions our call for legal aid funding for the more than 25 million people who do not have access to a local legal aid provider for housing advice.
Artificial Intelligence
Dr Janis Wong, Data & Technology Law Policy Advisor at the Law Society speaks to the Legal Perspective podcast about the latest developments in the Artificial Intelligence landscape and how tech, has affected and will continue to affect the charities and not for profit sector.
Criminal Legal Aid Advisory Board
Gazette reports that the Criminal Legal Aid Advisory Board has called for action on criminal legal aid fees. The piece mentions our judicial review.
TA6 property form
Estate Agent Today covers a response about the updated property form. Following the consultation earlier this year, conveyancers can continue using the TA6 form (5th edition) or its predecessor, the TA6 form (4th edition, second revision) (2020) until 15 January 2025.
Crimean human rights lawyers
Frontline Defenders reports on the continued harassment of Crimean human rights lawyers. We signed a joint statement expressing our concern.
Workplace surveillance
LSJ Online covers workplace surveillance in the legal sector and the potential implications it has on lawyers.
Our joint report about neurotech with Dr Allan McCay is mentioned.
Also worth a read:
- Whitehall should leave apprentices alone – The Lawyer (£)
- 'Capacity' concerns over assisted dying bill - Gazette
- Top UK government lawyer pushes ‘revolving door’ as pay gap widens – Financial Times (£)
- Peers say not reforming IPP sentences could cause another Post Office scandal - Guardian
- Nigel Farage to launch legal action after Manchester Airport incident - Metro
- Met officer sacked for gross misconduct after accessing Sarah Everard files – Guardian
- Police should focus on violent crime and burglaries, not social media, says Starmer – Telegraph (£)
- Harry one of two claimants still suing Sun publisher, court told – BBC News